The present research work aims at analyzing the psychological contract between employer and employees and classifying the different employees as per their preference towards various psychological contracts. Psychological contract is based on employees and employers mutual trust and relationship and obligation to each other. The study indicates that perceptions of mutual trust, mutual understanding and perceived reciprocity form the strong psychological contract. The research finding using factor analysis reveals five important factors building psychological contract among employees and employers. These are named as Relational contract, Employer obligations, transactional relationship, employees’ obligation and Internal advancement. Relational contract includes pay and benefits, organizational support and loyalty to the employees. Employer obligations is like providing safety, security and overall good working environment. Transactional relationship which is the combination of variable like financial and economic benefit offered by the organisation in view of their services offered to the organisation, employees obligation which is the combination of variable like employees involmentment, his commitment and enthusiasm towards the organisation and Internal advancement in which the employees see the future benefit for the good job done in the organisation. Analysis also indicates that female employees rated higher and gave more weightage to the factors of psychological contract then male respondents.
Cite this article:
Monika Sharma. An Empirical Study: Analysis of Psychological Contract at Workplace. Int. J. Rev. and Res. Social Sci. 2019; 7(2):379-383. doi: 10.5958/2454-2687.2019.00030.3